Is New Horizon Aircraft's expense growth sustainable?

**New Horizon Aircraft's expense growth appears to be unsustainable in the current phase of the company's development.** Here's the analysis to support this conclusion:

1. **Rapid Expense Increase**: The company's operating expenses have shown a significant increase, with quarterly expenses rising to $3,554,000 and nine-month expenses reaching $9,532,000. This increase is driven by research and development (R&D) and administrative costs.
2. **Financial Leverage and External Funding**: The company's reliance on external funding is evident, which raises questions about the sustainability of its operations without consistent revenue. The need for external funding suggests that the company may not be generating sufficient cash to support its expenses.
3. **Revenue Growth Lag**: Despite the increase in expenses, the company's revenue growth has been modest, with a year-over-year growth rate of 2.98%. This slow revenue growth relative to expense growth indicates that the company is not yet generating sufficient income to cover its increasing costs.
4. **Capital Raise and Liquidity Concerns**: The company has been actively raising capital, which is a red flag for sustainability.频繁的融资活动表明公司可能无法独立产生足够的现金来支持其运营，而是依赖外部资本注入来维持生计。此外，公司股份的显著增加从18,607,931股增加到31,230,914股，表明股东基础的扩大，但这也可能稀释现有股东的股份价值。
5. **Operational and Strategic Uncertainties**: The company is in the development and testing phases without revenue generation, which is typical for aerospace startups but adds to the uncertainty around its long-term financial viability。此外，虽然有专利技术的推动，但从当前的财务数据和增长指标来看，这些技术尚未产生显著的商业化成果。

In conclusion, while New Horizon Aircraft has shown some positive developments, such as increased cash reserves and improved financial position compared to the previous year, the current trajectory of rapid expense growth without a clear path to profitability is a cause for concern. The company's reliance on external funding and the lack of consistent revenue growth suggest that its expense growth may not be sustainable in the long term.